Avid 1998 Annual Report Download - page 18

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13
The following table sets forth selected condensed consolidated financial data for Avid. Included in the Company’ s financial
statements and selected financial data are the results of operations of Softimage, which the Company acquired on August 3,
1998. The Company accounted for this acquisition as a purchase and, accordingly, the results of operations of Softimage
are included as of the date of acquisition. In January 1995, the Company completed a merger with Digidesign that was
accounted for as a pooling of interests and, accordingly, all financial data presented was restated to include the combined
results of Avid and Digidesign as though the merger had occurred retroactively. The selected consolidated financial data
below should be read in conjunction with the "Management's Discussion and Analysis of Financial Condition and Results of
Operations" and the consolidated financial statements and notes thereto included elsewhere in this filing.
CONSOLIDATED STATEMENTS OF OPERATIONS DATA:
In thousands (except per share data)
For the Year ended December 31,
1998 1997 1996 1995 1994
Net revenues $482,377 $471,338 $429,009 $406,650 $233,633
Cost of revenues 190,249 221,553 238,808 198,841 108,057
Gross profit 292,128 249,785 190,201 207,809 125,576
Operating expenses:
Research and development 88,787 73,470 69,405 53,841 28,223
Marketing and selling 125,280 120,394 127,006 107,780 61,366
General and administrative 28,549 25,808 24,203 18,085 12,575
Nonrecurring costs 28,373 28,950 5,456
Amortization of acquisition-related assets 34,204
Total operating expenses 305,193 219,672 249,564 185,162 102,164
Operating income (loss) (13,065) 30,113 (59,363) 22,647 23,412
Other income and expense, net 8,636 8,125 3,416 1,380 1,675
Income (loss) before income taxes (4,429) 38,238 (55,947) 24,027 25,087
Provision for (benefit from) income taxes (796) 11,854 (17,903) 8,588 7,294
Net income (loss) ($3,633) $26,384 ($38,044) $15,439 $17,793
Net income (loss) per common share - basic ($0.15) $1.14 ($1.80) $0.81 $1.10
Net income (loss) per common share - diluted ($0.15) $1.08 ($1.80) $0.77 $0.99
Weighted average common shares outstanding - basic 23,644 23,065 21,163 19,010 16,238
Weighted average common shares outstanding - diluted 23,644 24,325 21,163 20,165 17,921
CONSOLIDATED BALANCE SHEET DATA:
In thousands As of December 31,
1998 1997 1996 1995 1994
Working capital $118,965 $186,474 $145,320 $162,260 $86,513
Total assets 486,715 356,805 300,979 331,604 182,174
Long-term obligations 13,261 403 1,186 2,945 2,369
Total stockholders' equity 290,311 241,794 213,415 247,966 127,887
SUPPLEMENTAL PRO FORMA INFORMATION: